Legitimate expense?

Aaron C Rescue
Aaron C Rescue Registered Posts: 76 Regular contributor ⭐
in General accounting discussion
Company Car is valet cleaned once a week, contact states that teh car must be kept clean, is this a legitimate expense, which can go through the books?

Comments

  • Monsoon
    Monsoon Registered Posts: 4,071 Beyond epic contributor 🧙‍♂️
    If the car is owned by the company then I don't see the problem.
  • Aaron C Rescue
    Aaron C Rescue Registered Posts: 76 Regular contributor ⭐
    Hi Monsoon, the car is hired, and not owned and not used for deliveries, it is a perk.
  • [Deleted User]
    [Deleted User] Posts: 0
    If the car is paid for out of the company bank account then the expense is fine.
  • Monsoon
    Monsoon Registered Posts: 4,071 Beyond epic contributor 🧙‍♂️
    Aaron C Rescue wrote: »
    Hi Monsoon, the car is hired, and not owned and not used for deliveries, it is a perk.

    The cost of the perk is taxable on the employee via his P11D and the employer will pay class 1a NI on it also.

    If the business pays for it, then it is allowable. it doesn't matter that its not used in the business but is an employee benefit (that is its use in the business).

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